Senin, 04 Juli 2011

Review of 1H performance - CLSA

Indonesia’s stellar market performance continued in 1H11. After a rocky start to the year where inflationary concerns knocked stocks and especially rate sensitive, shares roared back in 2Q and the market is Asia’s best performing YTD. Going into the 2H, with a strengthening Rp and subdued inflation, domestic consumption should continue to drive this market.

q YTD, Indonesia is again outperforming
q Rapid income growth is underpinning share price performance
q Banks and consumer have been the stars YTD
q Commodities have lagged as the rupiah gained palm oil prices fell